The Trump administration has stepped up enforcement of federal hospital price transparency rules, sending warning letters and corrective action requests to hundreds of hospitals nationwide, including three behavioral health facilities in the Chicago suburbs, the Chicago Tribune reported July 27.
Here are five things to know:
1. Three Illinois behavioral hospitals were cited. Streamwood Behavioral Healthcare System received a warning letter, while Ascension Alexian Brothers Behavioral Health Hospital in Hoffman Estates and Chicago Behavioral Hospital in Des Plaines were asked to submit corrective action plans.
2. Noncompliance can be costly. Hospitals that fail to comply with federal price transparency requirements can face penalties of up to $2 million annually.
3. More than 500 hospitals have been contacted. Since April, at least 21 hospitals in Illinois and more than 500 hospitals nationwide have received warning letters or requests related to price transparency. Texas led all states with 47 hospitals receiving notices, while Alaska had none.
4. The hospitals’ websites included price guides. A review by the Daily Herald found that all three Illinois behavioral hospitals posted price guides for standard services on their websites.
5. The transparency rules date to President Donald Trump’s first term. In 2019, President Trump signed an executive order requiring hospitals to disclose privately negotiated rates with commercial insurers. A subsequent executive order directed the Treasury, Labor and HHS departments to enforce those regulations after the American Hospital Association unsuccessfully challenged the rule in court.
Becker’s has reached out to Streamwood Behavioral Healthcare System, Ascension Alexian Brothers Behavioral Health Hospital and Chicago Behavioral Hospital for comment and will update this story if information becomes available.
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